Examining Economic and Global Business Environment for Marketing Management

Marketing Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Examining the economic environment within which businesses operate in the UK:..................3
Examining the global business environment and its impact on countries with an emphasis on
the UK:.........................................................................................................................................5
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................1

INTRODUCTION
The economic environment is defined as the external economic factors that helps in
influencing the habits of the consumers and his spendings. This is the reason it has large impact
on the performance of the company in different sectors. These factors can not be controlled by
the company and factors like the inflation, interest rate and the consumer behaviour comes under
it. Being fifth largest global economy in the world, United Kingdom has strong influence on the
business sector (Hamilton and Webster, 2018). The virgin money in United Kingdom provides
banking, financial and other services such as montages, credit and pension etc. to its consumer in
the United Kingdom and is greatly affected by the global business environment. In this report we
are going at analyse the economic environment of U.K. Within in which business operates and
later, we are going to examine the global business environment and its impact on countries with
an emphasis on united kingdom.
MAIN BODY
Examining the economic environment within which businesses operate in the UK:
Economy is most important pillar of every country, without this pillar nation might fall.
Economy is combination of different sector, business sector is one of the critical pillar of every
economy. Business growth strengthen whole country in terms of economic stability, if economy
is weak then firm might fail to survive the market (Ghauri and et.al., 2021). Market condition
and other factor of the UK denote how businesses would have succeeded in economy, even after
COVID-19 and Brexit, UK's economic is one of the most stable in the entire world allowing firm
to become active in dealing across international boarder. There are certain factors of economic
environment which provide support to business operation and continuous growth, these factors
are:
GDP: Gross Domestic Product, this is one of the most important factor of economy in which
firm focus on monetary value of final product and service, if there is high GDP rate then business
can create job opportunity by setting new manufacturing plant and paying higher wages and
GDP is booming but if vice versa can be seen then there will be low job creation and wages
paying will be reduced. GDP denote growth of business, UK's small and medium scale
businesses get impacted if there is any impact on economy (Kahiya, 2020). For example;
COVID-19 impact economic stability of UK, this was major impact which affected almost every
business. There was drastic fall in GDP rate impacting firm's performance. Banking sector of the